- TechCrunch and Pitchbook are reporting that HR innovator Gusto has raised an extension on its Series E round.
- The company’s Series E round, launched in 2021, was led by T. Rowe Price Associates, and totaled $175 million.
- The amount of the extension was not disclosed, but it is believed to be in the neighborhood of $55 million.
TechCrunch is reporting that HR technology company – and Finovate alum – Gusto has secured an extension of its 2021 Series E funding round. That round featured an investment of $175 million and was led by T. Rowe Price Associates. The amount of capital in the extension announced this week has not been disclosed, but TechCrunch suggests that the sum “appears to be around the $55 million mark.” Ahead of this week’s extension announcement, Gusto had a valuation of nearly $10 billion, and now has more than $746 in total funding.
Gusto offers an all-in-one platform to enable businesses to successfully automate and manage their HR operations. This includes a full-service payroll capability, as well as employee benefits management, hiring and onboarding, talent management, and timecards and attendance. The platform also provides insights and reporting that support anonymous team surveys, customizable reports, automatic compliance alerts, and more.
The company, launched in 2012, made its Finovate debut as ZenPayroll in 2014. Rebranding one year later as Gusto, the company has since grown into a fintech unicorn with more than 200,000 business customers nationwide. Gusto processes tens of billions of dollars in payroll every year while providing employee benefits – including health insurance and 401(k) accounts – that help companies provide an optimal environment for their workers.
Gusto began the year with an announcement that Whiz Consulting, based in Dallas Texas, launched its Gusto Payroll Services offering. Also in January, Gusto announced the appointment of former GitHub and Tesla executive Mike Taylor as its new Chief Financial Officer. This spring, Gusto reported that performance management software provider Engagedly would offer a seamless integration with its platform.
“We are excited to partner with Gusto, a leader in the people management platform,” Engagedly President and co-founder Sri Chellappa said. “As a partner, Gusto will help our joint clients leverage the vast power of Engagedly for employee engagement, people development, learning and performance management, and providing a seamless and holistic employee experience.”
Gusto is headquartered in San Francisco, California. Co-founder Joshua Reeves is CEO.
Photo by Henry & Co.
